How predictable are real GNP, prices, and other macroeconomic data over long time horizons? The answer depends on the nature of their trends. In this article, Nathan S. Balke describes alternative models of trend for economic data, discusses the implications of these models for forecasting and...

Discussions of the effects of monetary and fiscal policy sometimes center on the impact of such policies in ameliorating fluctuations associated with the business cycle. However, though familiar with the term "business cycle," many people are not aware of what it refers to exactly. In this...